DGAP-Ad-hoc: UBS AG / Key word(s): Bond
UBS AG: UBS announces successful completion of public tender offer
17.12.2015 / 07:00
Dissemination of an Ad hoc announcement according to § 15 WpHG.
The issuer is solely responsible for the content of this announcement.
--------------------------------------------------------------------------------
17 December 2015
News Release
UBS announces successful completion of public tender offer
UBS has accepted for repurchase certain of its senior and subordinated debt and
covered bonds in an aggregate principal amount of approximately CHF 6.1 billion.
Zurich/Basel, 17 December 2015 - UBS announces the successful completion of the
cash tender offers, announced on 4 December 2015, to re-purchase 17 issues of
its senior, subordinated debt and covered bonds with an aggregate principal
amount equivalent to approximately CHF 16 billion. 14 securities with an
aggregate principal amount equivalent to approximately CHF 6.1 billion were
accepted.
This transaction is consistent with our proactive approach to optimizing the
Group's interest expense, while maintaining our strong liquidity, funding and
capital position.
We expect to record an expense in the fourth quarter of 2015 related to this
transaction of approximately CHF 272 million, which will be recognized as
negative other income within Corporate Center - Group Asset and Liability
Management and will be treated as an adjusting item in determining the Group's
adjusted operating profit/ (loss) before tax. We expect to recover the expense
incurred in approximately 1.6 years primarily through reduction of future
interest expense from the purchased bonds. The repurchase of the bonds is
expected to have an immaterial effect on our CET1 ratio, however the transaction
will reduce our BIS Basel III phase-in total capital by approximately CHF 658
million. Some of the subordinated bonds repurchased are currently eligible as
Tier 2 under the BIS Basel III phase-in rules, but will not be eligible for Tier
2 capital treatment on a fully-applied basis beginning in 2019 and are not
expected to be eligible as loss absorbing capacity under the anticipated
revisions to the Swiss "too-big-to-fail" regulation.
UBS AG
Investor contact
Switzerland: +41-44-234 41 00
Media contact
Switzerland: +41-44-234 85 00
UK: +44-207-567 47 14
Americas: +1-212-882 58 57
APAC: +852-297-1 82 00
www.ubs.com
Cautionary Statement Regarding Forward-Looking Statements This release contains
statements that constitute "forward-looking statements". While these statements
represent UBS's expectation concerning future developments, a number of risks,
uncertainties and other important factors could cause actual developments and
results to differ materially from UBS's expectations. In addition, these results
could depend on other factors that we have previously indicated could affect our
business and financial performance which are contained in our past and future
filings and reports, including those filed with the SEC. More detailed
information about those factors is set forth in documents furnished by UBS and
filings made by UBS with the SEC, including UBS's Annual Report on Form 20-F for
the year ended 31 December 2014. UBS is not under any obligation to (and
expressly disclaims any obligation to) update or alter its forward-looking
statements, whether as a result of new information, future events or otherwise.
--------------------------------------------------------------------------------
Language: English
Company: UBS AG
Bahnhofstrasse 45
8001 Zürich
Switzerland
Phone: +41 44 234 11 11
E-mail:info@ubs.com
Internet: www.ubs.com
ISIN: CH0024899483, CH0039913899
WKN: UB0BL6
Listed: Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Munich,
Stuttgart; Open Market in Frankfurt ; SIX
End of News DGAP News Service
--------------------------------------------------------------------------------
424451 17.12.2015